Location tracking precision varies based on the underlying platform (Android, iOS) and the device settings. Location latitude/longitude, in this case, is obtained by the app developer and passed to Adobe Analytics using the trackLocation API. The documentation implies that if higher orders of precision are available, they will be passed into those variables, accordingly. For questions on what levels of precision are available, we refer to platform/device manufacturers; and for questions on best practices & legality - we'd recommend connecting with your internal legal stakeholders or your Adobe Customer Success Managers.